Monthly RE update- September 2019
New RFS issued in September 2019
|Tender name||Technology||Ceiling tariff (INR/ kWh)||Other details||Last date of bid submission|
|MSEDCL, Hybrid, Maharashtra, 80 MW||Wind-solar hybrid||2.80||Earnest Money Deposit: INR 1 million/ MW Performance bank guarantee: INR 2 million/ MW||30 Sep 2019|
|NHPC, Pan India, 2,000 MW||Solar||2.95||Earnest Money Deposit: INR 1 million/ MW. Performance Bank Guarantee: INR 2.5 million/ MW||27 Sep 2019|
|RRECL, Rajasthan, 113.5 MW||Small scale solar||NA||Earnest Money Deposit: INR 0.5 million/ MW. Performance Bank Guarantee: INR 1 million/ MW||11 Oct 2019|
|SECI, Lakshadweep, 1.95 MW + 2.15MWh battery energy storage||Solar + BESS||NA||Entire project shall be allocated to single bidder based on the price bid Earnest Money Deposit: INR 4 million||8 Nov 2019|
|SECI, Wind, Pan India, Tranche IX, 1200 MW||Wind||2.85||Earnest Money Deposit: INR 0.7 million Performance bank guarantee: INR 2 million/ MW||5 Nov 2019|
|UPNEDA, Solar, 500 MW||Solar||3.25||Earnest Money Deposit: INR 0.6 million/ MW Performance bank guarantee: INR 2 million/ MW||22 Oct 2019|
|ITI, Karnataka, Power procurement, open access, 600,000 kWh||Open access solar||NA||10 Oct 2019|
|Bharat Petroleum, Maharashtra, 6 MW – solar, 9 MW – non-solar||Open access Solar + Non-solar||NA||Earnest Money Deposit: INR 1 million/ MW||3 Oct 2019|
|UPNEDA, Uttar Pradesh, 16 MW, CAPEX||Solar rooftop||NA||Earnest Money Deposit: INR 60,000 for project capacity not less than 5 kW, INR 4.8 million for 50 kW project, INR 2.1 million for 100 kW project||23 Sep 2019|
|UPNEDA, Uttar Pradesh, 60 MW||Solar rooftop||–||Earnest Money Deposit (EMD) will be based on the bid capacity proposed by the bidder||10 Oct 2019|
|JREDA, Jharkhand, 15 MW||Solar rooftop||–||Earnest Money Deposit: INR 0.2 million/ 100 kW||10 Oct 2019|
|RSRTC, Rajasthan, 4 MW, RESCO||Solar rooftop||–||Earnest Money Deposit: INR 3.6 million||10 Oct 2019|
|Tender name||Tendered capacity (MW)||Allotted capacity (MW)||Winners|
|SECI, CPSU, I, 2,000 MW||2,000||922.4||NTPC- 769.4 MW|
Singereni Colleries Company- 90 MW
Assam Power Distribution- 30 MW
NHDC Ltd.- 25 MW
DMRC- 5 MW
Nalanda University- 3 MW
|NTPC, Kerala, Floating solar, 70 MW||70||70||Tata Power Solar|
Source: JMK Research
In August 2019, about 637 MW of new solar capacity and 64 MW of new wind capacity is added.
State-wise installations in solar and wind during August 2019 – 701 MW
Source: MNRE, JMK Research
List of projects commissioned
|Project developer name||Technology||Capacity (MW)||State||Date of commissioning|
|NLC||Solar utility||100||Tamil Nadu||August 2019|
|Adani||Solar utility||100||Maharashtra||August 2019|
|Bharathi Cement||Solar utility||10||Andhra Pradesh||September 2019|
|NLC||Solar utility||95||Tamil Nadu||September 2019|
|Tata Power||Solar utility||150||Rajasthan||September 2019|
|Gujarat Alkalies||Solar utility||20||Gujarat||September 2019|
|SolarArise India||Solar utility||27||Karnataka||September 2019|
Source: JMK Research
|Date of announcement||Company name||Deal type||Sector||Acquirer/ Investor||Deal value||Stake acquired|
|4 Sep 2019||Bajaj Energy||IPO||NA||NA||INR 54,500 Million||NA|
|6 Sep 2019||ReNew||Bonds||Renewables||HSBC, JP Morgan and Barclays||$300 Million||NA|
|13 Sep 2019||Vestas||PE||Wind||IKEA (Ingka Group)||$151 Million||80%|
|30 Sep 2019||Gensol||IPO||Solar||NA||INR 170 Million||NA|
Source: JMK Research
Other key announcements
Global Infrastructure Partners (GIP) and Edelweiss Infrastructure Yield Plus fund are competing to acquire the solar energy portfolio of French major Engie in India for around $400 million, said two people aware of the development. Engie has a renewable energy capacity of 1.5 GW in India. It has an installed capacity of 810 MW in solar and a capacity of 280 MW in wind. Rothschild & co is running a sale mandate for Engie.
The Essel Group, which needs to sell a host of assets to stave off loan defaults, is in talks with the Adani group to sell its remaining solar energy portfolio, said two people close to the development. Essel is rushing to complete its unfinished solar power projects of 480 megawatts (MW) to sell them to Adani Green Energy Ltd, the group’s renewable energy arm.
Norway’s state utility Statkraft has emerged on top in the race for Continuum Wind Energy, a wind energy platform owned by Morgan Stanley Infrastructure Partners, said two people aware of the development. In 2012, Morgan Stanley Infrastructure Partners, which manages more than $4 billion in assets globally, had invested $212 million in India-focused Continuum Wind, founded by Arvind Bansal and Vikash Saraf in 2009. Morgan Stanley currently has a majority stake in Continuum Wind.
Monthly Import-Export Statistics
*Provisional data, final data not yet released by the government
Source: Ministry of Commerce, JMK research
Global Price Trends
Source: EnergyTrend, JMK Research
Policy and Regulations
The Ministry of New and Renewable Energy (MNRE), through a letter, has directed NTPC and Solar Energy Corporation of India (SECI) to release performance bank guarantee (PBGs) for the solar and wind power projects that have been commissioned. According to the letter PBGs may be released within 45 days from COD (Commercial Operation Date), subject to fulfilment of requirements of submission of all the requisite documents.
As per the order, after Mar 31, 2020, only the models and manufacturers included in ALMM Lists (of solar PV Cells and Modules) will be eligible for use in Government/ Government assisted Projects/ Projects under Government Schemes & Programmes. All projects for which bids have been finalised before the issuance of order dated Feb1, 2019 shall stand exempted from the mandatory requirement of procurement of cells and modules enlisted in the ALMM order.
- Deviation Settlement Mechanism (DSM) shall be implemented for all RE except Municipal Solid Waste (MSW) and Small Hydro Power (SHP). For solar DSM will be as per UPERC (Forecasting, Scheduling and Settlement) Regulations 2018
- Waivers for third party sale projects: 50% exemption of wheeling and transmission Charges for Captive and Third-Party use. 100% waiver on transmission for Interstate sale. 100% exemption of state CSS for Interstate sale of power for Captive/Third Party use.
- Banking: 100% Banking of Energy for RE except for SHP and MSW and shall be as per technical feasibility specified by DISCOM. Withdrawal of banked energy as per TOD system only. No interchange of peak-off peak banked energy. Banking as well withdrawal of banked energy shall be subject to day ahead Scheduling. Banked energy utilisation allowed up to next two quarters from the quarter in which energy is banked. Unutilised banked energy to be treated as sale of electricity to DISCOM @2 Rs/unit. Banking charges @6% of banked energy
EV related and charging infrastructure manufacturing units get 100% exemption on electricity tax till December 2025. Units that obtain land by sale or lease shall be entitled to 100% exemption on stamp duty for transactions till Dec 2022. Units that obtain land from SIPCOT, SIDCO or other government agencies will be provided a 15% subsidy on the cost, and will be provided 50% subsidy if the investments are in the southern districts.
These regulations would apply to PDRES (Prosumer Distributed Renewable Energy Systems) owned by prosumer or third-party owned and IDRES (Independent Distributed Renewable Energy System) installed in the area of supply of the distribution licensee. In the third-party-owned solar project, a rooftop or landowner may lease out or rent the premise to a solar developer on a mutual commercial arrangement. The Commercial arrangement between the project developer and the premise owner will be submitted to the Distribution Licensee for records. The consumer availing open access may establish renewable energy systems in its premises only if it is under the IDRES.